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Our press release also proposes states work to implement laws requiring online retailers to collect state sales taxes so brick and mortar stores can compete. After all, sales tax holidays don’t benefit local retailers much more than they benefit consumers.
Of course, the fairness concerns are only one reason why sales tax holidays aren’t all they’re cracked up to be. ITEP’s policy brief on the issue highlights the cost, administrative difficulties, and impact of unscrupulous retailers as other reasons why organizations, policymakers, and consumers should be joining the ITEP effort against sales tax holidays.